1 Stock-Split ETF That Could Turn $500 Per Month Into $1 Million, With Nvidia’s Help

With $10 trillion in client funds in its custody, Blackrock is the world’s largest asset manager. It’s also the parent company of iShares, which offers more than 1,400 exchange-traded funds (ETFs) to investors.

The iShares Semiconductor ETF (NASDAQ: SOXX) manages a $12.9 billion portfolio filled with the world’s leading chip stocks, many of which operate at the forefront of the artificial intelligence (AI) revolution.

Image source: Getty Images.

The iShares Semiconductor ETF just completed a stock split

The iShares Semiconductor ETF has delivered compound annual returns of 25.3% over the last 10 years, almost doubling the 13.1% annual returns of the S&P 500 index over the same period.

The ETF soared to $680 per share in March, making it rather expensive for many retail investors. In response, iShares executed a 3-for-1 stock split that increased the number of shares in circulation threefold and reduced the price per share by two-thirds (to around $225 as of this writing).

The ETF is now more accessible to a wider investor base, which is great news because its momentum will likely continue given the sheer size of the opportunity in the AI industry. Here’s how it could turn an investment of $500 per month into more than $1 million over the long term, thanks to top holdings like Nvidia (NASDAQ: NVDA) and Advanced Micro Devices (NASDAQ: AMD).

Betting on the world’s top chip companies

Investors are likely to be familiar with AI-powered chatbots like ChatGPT, Gemini, and Claude, which can interpret and generate text, images, videos, and computer code. But it takes data centers filled with advanced chips for developers to build, train, and deploy AI models. Without that hardware behind it, the software couldn’t exist and operate.

Nvidia designs the industry’s most powerful graphics processing units (GPUs), which are ideal for those purposes. The company is now worth $2.3 trillion, and $1.5 trillion of that value was created in the past 12 months alone on the back of surging demand for its cutting-edge GPUs from data center operators like Microsoft, Amazon, and Meta…

..

Read More

Leave a Reply

Your email address will not be published. Required fields are marked *

Discover more from Investor News Blog Finance Exchange News

Subscribe now to keep reading and get access to the full archive.

Continue reading